The Definition Of An Unfree Market

Commentary by Guy Haselmann of Scotiabank Unfree A market economy is one based on supply and demand with little or no government control.   Dictionary site ‘Investopedia’ states that “a completely free market is an idealized form of a market economy where buyers and sellers are allowed to transact freely (i.e. buy/sell/trade) based on a mutual agreement on price without state intervention in the form of taxes, subsidies or regulation.”  Toto, I don’t think we are in Kansas anymore. After the 2008 financial crisis, regulatory banking rules (i.e. macroprudential policies) conspired with zero (or negative) interest rates and asset purchases to exterminate the markets’ ability to freely calibrate clearing market prices based on supply and demand factors.   It is impossible for central banks to sustain controlling influence on market sentiment, investor behavior, correlations, and valuations, simply because effectiveness wanes over time.  As time passes, central bank stimulus stretches financial asset […] Read More

This Is Why They Are Militarizing: ‘The World Will Become Baltimore When People Realize They Cannot Acquire Basic Resources’

No matter the negative economic news or weak corporate earnings, stock markets continue to reach news highs and mainstream media pundits tow the party line. But how is this possible, given that tens of millions are out of the workforce, on food stamps and completely broke? The answer, according to Gregory Mannarino, is quite simple. The world’s central banks and governments have been left with no other option. They are throwing absolutely everything they can at the problem in an effort to keep the system propped up for as long as possible. But as Mannarino notes in his recent interview with Greg Hunter’s USA Watchdog, it’s nothing more than a setup that will leave most of the world’s population, especially the middle class in first-world countries, totally wiped out and impoverished. The end result will be nothing short of widespread civil unrest, violence and bloodshed as people begin to […] Read More

CEO Of Rosneft Compares Oil Market Manipulation Which “Doesn’t Reflect Reality” To Gold Price Rigging

It was a little under two years ago when, when oil and gas prices were both surging, Obama decided to punish the evil speculators whose fault the rise of oil was when he announced he would “give the Commodity Futures Trading Commission authority to increase the amount of money that a trader must put up to back a trading position. The administration officials said such authority could help limit disruptions in energy markets.” Needless to say, Obama did not punish the world’s central banks for flooding the globe with excess liquidity, which by definition would end up in less than “productive” ventures such as barrels of oil. Over the weekend, it was the opposite, when instead of blaming speculators for soaring prices, none other than the CEO of Russia’s largest publicly-traded oil company, Rosneft, in not so many words, accused speculators of sending the price of oil plunging. Which […] Read More

Nomi Prins: The Sinister Evolution Of Our Modern Banking System

By Adam Taggart of PeakProsperity Nomi Prins: The Sinister Evolution Of Our Modern Banking System I quit Wall Street and decided that it was time to talk more about what was going on inside it, as it had changed. It had become far more sinister and far more dangerous. ~ Nomi Prins Today, the ‘revolving door’ connecting our political and financial systems is evident to anyone with eyes. But this entwined relationship between Washington DC and Wall Street is nothing new, predating even the formation of the Federal Reserve. To chronicle the evolution to where we find ourselves today, we welcome Nomi Prins, Wall Street veteran turned financial industry reformist, and author of the excellent expose All The Presidents Bankers. In this well-detailed interview, Nomi goes into depth of the rationale and process behind the creation of the Federal Reserve, and more important, how its mandate — and the […] Read More

Lenders Can Now Disable Your Car When You’re Driving on the Freeway

People with poor credit are being sold cars with GPS-based kill switches. Imagine this scenario: You’re on an important trip miles from home and stopped in traffic, but before you can continue on your way, your car shuts down. You’ve got enough gas in the tank and no mechanical problems. But you’re stranded far from home because you’re a few days late on your car payment and the lender won’t let you drive until the debt is paid. If this sounds like part of a dystopian future in which repo men are now cyborgs, it’s not. It’s happening today and becoming a big part of the new automotive landscape. Car dealers and automotive lenders are targeting those with poor credit by installing GPS-based kill switches, or starter-interrupt devices, on the cars that they sell. The New York Times recently reported that about 2 million cars are now outfitted with such […] Read More